onl in e ban k i ng c u stome r s
Real-time fraud
detection in the
cloud
By Saurabh Tandon
T
his article explores how to
detect fraud among online
banking customers in near
rea time by running a combination of learning algorithms on a data set
that includes customer transactions and
demographic data. The article also explores how the “cloud environment” can
be used to deploy these fraud detection
algorithms in short order to meet computational demands at a fraction of the cost
it otherwise takes in setting up traditional
data centers, and acquiring and codifying
new hardware and networks.
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a n a ly t i c s - m a g a z i n e . o r g
Real-time decision-making is becoming increasingly valuable with the
advancement of data collection and analytical techniques. Due to the increase
in data processing speeds, the classical data warehousing model is moving
toward a real-time model. Cloud-based
platforms enable the rapid development
and deployment of applications, thereby
reducing the lag between data acquisition
and actionable insight. Put differently, the
creation-to-consumption cycle is becoming shorter, which enables corporations to
experiment and iterate with their business
w w w. i n f o r m s . o r g